Receiving a job offer in another city feels exciting. New role, higher salary, fresh opportunities. But then the excitement fades, and reality intrudes — moving to a new city for a new job is far more expensive than most people realize. It is not uncommon for people to grab an offer because they think the new salary will “cover everything”. Within the first 30 days, there are immediate expenses: rent deposits, temporary housing, daily commuting and food costs and unanticipated bills. This is the point at which bad financial planning can take a positive job move and turn it into stress.
In this blog i will try to explain the real cost of living in any city you’re moving to apply job for in India, including hidden costs, common mistakes and how much money you should really keep aside before relocating.
Why Cost of Living Increases After Job Relocation
When you changes city for a job, your expenses don’t rise gradually — they jump suddenly in no time.
Key Factors-
You pay multiple costs at once (rent, deposit, setup)
Initial days involve trial-and-error spending
New cities often have higher daily expenses
You may face a salary gap between joining and first payout.
Even people shifting from one metro city to another city are surprised by how fast money drains in the first few weeks.
Expense Breakdown When Moving to Another City for Job
Below is a realistic cost breakdown for most Indian cities:
| Expense Type | Estimated Cost (₹) |
|---|---|
| House rent deposit (2–3 months) | 30,000 – 1,00,000 |
| First month rent | 10,000 – 40,000 |
| Broker charges | 5,000 – 20,000 |
| Temporary stay / PG | 5,000 – 15,000 |
| Travel & shifting | 3,000 – 25,000 |
| Basic furniture & setup | 5,000 – 30,000 |
| Daily food & transport | 6,000 – 15,000 |
These costs vary by city to city, but some form of each expense is unavoidable in every city as per my experience.
One-Time Expenses vs Monthly Expenses After Job Change
One-Time Expenses
House deposit
Brokerage
Shifting & travel
Furniture, utensils, internet setup
Monthly Expenses
Rent
Food & groceries
Local transport
Mobile & internet
Utilities and subscriptions
Most people underestimate one-time expenses, which is why savings disappear quickly after relocation to new place.
How Much Money You Should Save Before Relocating for Job
Ideally, you should have at least 2–3 months of living expenses saved before moving. Its not a thumb rule but its advisable to have at least 3 Months salary.
This buffer helps you:
Handle salary delays
Avoid using credit cards unnecessarily
Stay calm during unexpected expenses
Make better housing decisions without rushing
Taking loans or relying heavily on credit during the first month can increase stress and affect long-term financial stability.
Common Financial Mistakes After Job Relocation
A lot of professionals make the same mistake:
- Overspending in the first month.
Choosing expensive rentals in urgency.
Using credit cards without tracking.
Ignoring EMIs and existing commitments.
Not making a simple and clear monthly budget.
- A change of careers should make your financial life easier, not harder.
Smart Tips to Reduce Cost of Living in a New City
Here’s some real-world advice on how to keep your space in check:
Begin with shared accommodation or PG.
Wait to buy furniture A few weeks.
Keep tabs on your daily spending for the first month.
Ask employer about relocation allowance.
Use public transport initially.
Small discipline in the first 60 days makes a big difference.
Frequently Asked Questions (FAQs)
Is cost of living higher after job relocation?
Yes, especially in the first 1–2 months due to deposits, setup costs, and adjustment expenses.
How much salary increase is good enough to change city?
Generally, a 30–40% hike is safer if moving to a metro, considering higher living costs.
Should I take a loan for relocation expenses?
It’s better to rely on savings initially. Loans can add pressure during an already unstable phase.
How long does it take to stabilize expenses after relocation?
Most people stabilize within 2–3 months once rent, travel, and routines are fixed.
Which cities are most expensive for job relocation in India?
Conclusion
Bengaluru, Mumbai, Delhi NCR, and Hyderabad usually have higher initial setup costs.
Read More – Financial Checklist Before Changing Job Location in India (2025), Things I Wish I Knew Before Relocating from Gurgaon to Bangalore for a Job
Author
Written by a research-based content writer focusing on job transitions, relocation challenges, and personal money management in India.
Disclaimer
This article is for educational and informational purposes only. It does not provide financial or legal advice.
Last updated: December 2025
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